5 Stocks Pushing The Industrial Goods Sector Lower

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model

All three major indices are trading down today with the Dow Jones Industrial Average ( ^DJI) trading down 22 points (-0.2%) at 14,429 as of Tuesday, March 19, 2013, 12:45 PM ET. The NYSE advances/declines ratio sits at 1,094 issues advancing vs. 1,811 declining with 142 unchanged.

The Industrial Goods sector currently sits down 0.5% versus the S&P 500, which is down 0.4%. On the negative front, top decliners within the sector include Cemex S.A.B. de C.V ( CX), down 1.7%, AGCO ( AGCO), down 1.8%, Vulcan Materials Company ( VMC), down 1.6%, Caterpillar ( CAT), down 1.5% and Deere ( DE), down 1.4%. A company within the sector that increased today was Koninklijke Philips Electronics ( PHG), up 1.8%.

TheStreet Ratings group would like to highlight 5 stocks pushing the sector lower today:

5. Parker Hannifin Corporation ( PH) is one of the companies pushing the Industrial Goods sector lower today. As of noon trading, Parker Hannifin Corporation is down $1.24 (-1.3%) to $94.84 on light volume Thus far, 453,392 shares of Parker Hannifin Corporation exchanged hands as compared to its average daily volume of 1.2 million shares. The stock has ranged in price between $94.23-$96.46 after having opened the day at $96.27 as compared to the previous trading day's close of $96.08.

Parker Hannifin Corporation manufactures fluid power systems, electromechanical controls, and related components worldwide. Parker Hannifin Corporation has a market cap of $14.4 billion and is part of the industrial industry. The company has a P/E ratio of 14.3, below the S&P 500 P/E ratio of 17.7. Shares are up 13.0% year to date as of the close of trading on Monday. Currently there are 7 analysts that rate Parker Hannifin Corporation a buy, 1 analyst rates it a sell, and 4 rate it a hold.

TheStreet Ratings rates Parker Hannifin Corporation as a buy. The company's strengths can be seen in multiple areas, such as its reasonable valuation levels, good cash flow from operations, increase in stock price during the past year and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company shows low profit margins. Get the full Parker Hannifin Corporation Ratings Report now.

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4. As of noon trading, Precision Castparts ( PCP) is down $1.29 (-0.7%) to $192.66 on light volume Thus far, 210,400 shares of Precision Castparts exchanged hands as compared to its average daily volume of 684,800 shares. The stock has ranged in price between $191.93-$194.81 after having opened the day at $194.44 as compared to the previous trading day's close of $193.95.

Precision Castparts Corp. manufactures and sells metal components and products worldwide. Precision Castparts has a market cap of $28.5 billion and is part of the industrial industry. The company has a P/E ratio of 21.0, above the S&P 500 P/E ratio of 17.7. Shares are up 2.4% year to date as of the close of trading on Monday. Currently there are 13 analysts that rate Precision Castparts a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates Precision Castparts as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, growth in earnings per share, increase in net income and good cash flow from operations. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity. Get the full Precision Castparts Ratings Report now.

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3. As of noon trading, Joy Global ( JOY) is down $2.01 (-3.2%) to $59.80 on average volume Thus far, 1.1 million shares of Joy Global exchanged hands as compared to its average daily volume of 2.2 million shares. The stock has ranged in price between $59.50-$61.83 after having opened the day at $61.82 as compared to the previous trading day's close of $61.81.

Joy Global Inc. engages in the manufacture and servicing of mining equipment for the extraction of coal, copper, iron ore, oil sands, and other minerals. It operates in two segments, Underground Mining Machinery and Surface Mining Equipment. Joy Global has a market cap of $6.6 billion and is part of the industrial industry. The company has a P/E ratio of 46.7, above the S&P 500 P/E ratio of 17.7. Shares are down 3.1% year to date as of the close of trading on Monday. Currently there are 12 analysts that rate Joy Global a buy, no analysts rate it a sell, and 7 rate it a hold.

TheStreet Ratings rates Joy Global as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, attractive valuation levels, good cash flow from operations, largely solid financial position with reasonable debt levels by most measures and notable return on equity. We feel these strengths outweigh the fact that the company shows low profit margins. Get the full Joy Global Ratings Report now.

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2. As of noon trading, Illinois Tool Works ( ITW) is down $0.48 (-0.8%) to $61.84 on average volume Thus far, 881,252 shares of Illinois Tool Works exchanged hands as compared to its average daily volume of 2.3 million shares. The stock has ranged in price between $61.58-$62.53 after having opened the day at $62.44 as compared to the previous trading day's close of $62.32.

Illinois Tool Works Inc. manufactures and sells a range of industrial products and equipment worldwide. Illinois Tool Works has a market cap of $28.1 billion and is part of the industrial industry. The company has a P/E ratio of 11.8, below the S&P 500 P/E ratio of 17.7. Shares are up 2.5% year to date as of the close of trading on Monday. Currently there are 8 analysts that rate Illinois Tool Works a buy, 1 analyst rates it a sell, and 7 rate it a hold.

TheStreet Ratings rates Illinois Tool Works as a buy. The company's strengths can be seen in multiple areas, such as its increase in stock price during the past year, compelling growth in net income, largely solid financial position with reasonable debt levels by most measures, notable return on equity and expanding profit margins. We feel these strengths outweigh the fact that the company shows weak operating cash flow. Get the full Illinois Tool Works Ratings Report now.

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1. As of noon trading, Cummins ( CMI) is down $0.82 (-0.7%) to $115.49 on average volume Thus far, 701,715 shares of Cummins exchanged hands as compared to its average daily volume of 1.6 million shares. The stock has ranged in price between $114.81-$116.82 after having opened the day at $116.55 as compared to the previous trading day's close of $116.31.

Cummins Inc. designs, manufactures, distributes, and services diesel and natural gas engines, and engine-related component products. It operates in four segments: Engine, Components, Power Generation, and Distribution. Cummins has a market cap of $22.3 billion and is part of the industrial industry. The company has a P/E ratio of 13.5, below the S&P 500 P/E ratio of 17.7. Shares are up 7.3% year to date as of the close of trading on Monday. Currently there are 7 analysts that rate Cummins a buy, no analysts rate it a sell, and 8 rate it a hold.

TheStreet Ratings rates Cummins as a buy. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, good cash flow from operations, attractive valuation levels and notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Get the full Cummins Ratings Report now.

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If you are interested in one of these 3 stocks, ETFs may be of interest. Investors who are bullish on the industrial goods sector could consider Industrial Select Sector SPDR ( XLI) while those bearish on the industrial goods sector could consider ProShares Short Dow 30 ( DOG).

A reminder about TheStreet Ratings group: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

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